Category Archives: Business & Politics

Business & Politics

What is biomass? The latest fuel source to get clean tech tax credits

By Dave Baxter
Global News
November 26, 2023
Category: Business & Politics
Region: Canada

Ottawa plans on expanding its clean technology and electricity tax credits to include heat and electricity produced by burning biomass, as outlined in its fall economic statement. …Ajay Dalai, the Canada Research Chair on Bioenergy out of the University of Saskatchewan, said Canada is “sitting on a gold mine in terms of biomass availability of products.” …“The amount of bioenergy that we produce in the country is about seven terawatt hours compared to one thousand terawatt hours worldwide — a very small fraction coming from the Canadian biomass.”…The fall economic statement is proposing to expand eligibility to the 30% Clean Technology investment tax credit to include “systems that produce electricity, heat, or both electricity and heat from waste biomass.” …This is welcome news for the Forest Products Association of Canada. …However, some environmental groups argue that biomass is not as green as it seems, including Stand Earth. …Accompanying legislation is expected to be introduced in fall 2024.

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MPs urge Canada to appoint “softwood lumber emissary”

By Zi-Ann Lum
PoliticoPro
November 22, 2023
Category: Business & Politics
Region: Canada, United States

OTTAWA — Lawmakers are urging Canada to appoint a “softwood lumber emissary” and give them the mission of getting American officials onside to resolve the decades-long trade dispute. That’s one of seven recommendations the House international trade committee shared in a new report released Monday afternoon. MPs spent two meetings ahead of summer focused on the anti-dumping and countervailing duties the U.S. has slapped on Canadian softwood lumber. The current combined duty rate on Canadian imports is 7.99 percent. MPs want Ottawa to take “immediate action” to ensure softwood lumber products from private forests are exempt from anti-dumping and countervailing duties. …Structural differences between the American industry (where products are mostly from private lots) and the Canadian (a majority of production comes from publicly owned land) have driven five softwood lumber disputes since 1982. The current one, which started in 2016, is the longest. [This publication requires a subscription to access the full story]

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Report on Anti-dumping and Countervailing Duties On Canadian Softwood Lumber

By Standing Committee on International Trade
Government of Canada
November 24, 2023
Category: Business & Politics
Region: Canada, United States

On January 30, 2023 Canada’s Standing Committee on International Trade adopted a motion to study again the United States’ anti-dumping and countervailing duties on certain Canadian softwood lumber products. Released Monday, their report recommends that the Government of Canada:

  1. Continue with and enhance its engagement with the Government of the US. 
  2. Continue with and enhance its collaboration with sectors in the US that support an end to the anti-dumping and countervailing duties. 
  3. Appoint an official softwood lumber emissary for Canada to engage with US officials to enhance Canada’s efforts designed to encourage the U.S. administration to negotiate a resolution
  4. Acknowledge that achieving an agreement with the US regarding trade in softwood lumber products ultimately will occur only through direct head-of-government negotiation.
  5. Establish a strategy for investment in value-added transformations of wood within Canada.
  6. Ensure recognition of the specific characteristics of Quebec’s forestry regime, which… has established
    a market-based system for the pricing of timber
  7. Take immediate actions designed to ensure that products from private forests in Canada are not subject to U.S. anti-dumping or countervailing duties.

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John Dunford, Chair of PEFC Canada passes away

Kamloops Funeral Home
November 23, 2023
Category: Business & Politics
Region: Canada

It is with profound sadness that the family of John Dunford announces his sudden passing on October 26, 2023 in Kamloops, BC. …John loved being a forester and took great pride in the profession. He was well respected and well liked. John worked for Tolko Industries for over 23 years. John was Professional Forester of the Year in 2010 (by the BC Association of Forest Professionals). He served a four-year term on the BC Forest Practices Board, three as vice-chair, where he was recognized as bringing a fair and balanced perspective to the Board. Nationally, for over a decade John served as Chair and Vice-Chair of the Forestry Committee for the Forest Products Association of Canada. He led the Woodland Caribou and Forest Certification sub-committees always bringing thoughtful solutions to these policy conversations. He was also a member of the National Council for Air and Stream Improvement (NCASI) Forestry Committee during this time. For many years John championed the importance of sustainable forestry. He served as Director and Chair of Programme for the Endorsement of Forest Certification (PEFC) Canada, and represented PEFC Canada internationally on several boards and working groups.

Statement from PEFC

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Canada fiscal update sees higher deficits and debt, adds housing measures

By Steve Scherer and David Ljunggren
Reuters
November 21, 2023
Category: Business & Politics
Region: Canada

Chrystia Freeland & Justin Trudeau

OTTAWA — Canada’s deficit spending will be much higher than forecast in March and its debt will come down more slowly, the finance ministry said on Tuesday in its mid-year fiscal update, as it pledged new measures to boost housing supply. With interest rates at a two-decade high and inflation still elevated, the Liberal government is under pressure to curb spending, which the central bank warned is stoking inflation. While analysts said the spending on housing and on green-tech subsidies would ultimately be disinflationary, they expressed concern that the government was not showing enough restraint as debt servicing costs skyrocket. The fiscal year 2024/25 and 2025/26 deficits will be much higher than had been forecast. The deficit is seen at C$38.4 billion in 2024/25 and C$38.3 billion in 2025/26, compared with March estimates of C$35.0 billion and C$26.8 billion respectively. 

In related coverage:

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Fall Economic Statement Recognizes Biomass Technologies as Necessary to Reducing GHGs and Improving Competitiveness

By Derek Nighbor
Forest Products Association of Canada
November 21, 2023
Category: Business & Politics
Region: Canada

Forest Products Association of Canada applauds the federal government’s decision to include forest biomass conversion technologies for heat and electricity generation in its Clean Manufacturing and Clean Electricity Investment Tax Credits. The move was announced in today’s Fall Economic Statement tabled in the House of Commons by Finance Minister Chrystia Freeland. “This decision marks a significant step forward to grow Canada’s forest bioeconomy and will encourage additional market use for low-grade wood in the face of worsening fire patterns,” said FPAC CEO Derek Nighbor. “It’s good news for forestry workers and communities because this will improve our sector’s international competitiveness position in the face of similar incentives in the United States and Europe. We absolutely needed this to be able to compete for global investment in the months and years ahead.”

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Northern Alberta sawmill convicted in death of worker, fined nearly $300K

By Wallis Snowdon
CBC News
November 17, 2023
Category: Business & Politics
Region: Canada

LA CRETE, Alberta — A northern Alberta lumber company convicted this month in the death of a sawmill worker has been ordered to pay a $295,000 creative sentence that will be used to offer new workplace safety training to students. La Crete Sawmills was convicted on Nov. 7 in Fort Vermilion Court of Justice after pleading guilty under Alberta’s Occupational Health and Safety Act for failing to ensure the health and safety of a worker. The Fort Vermilion School Division will use the funds to provide workplace safety courses to high school students at its schools in the Peace River region. The worker was fatally injured at the sawmill on March 31, 2022, when the planer he was working on jammed. …La Crete Sawmill says it employs about 160 people in La Crete, a hamlet 685 kilometres north of Edmonton, which has a population of 3,800.

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Canfor’s Polar curtailment sends shockwaves throughout forestry sector

By Adams Berls
CKPGToday.ca
November 15, 2023
Category: Business & Politics
Region: Canada

PRINCE GEORGE, BC — Canfor has confirmed 190 people will be impacted by the six-month shutdown at their Polar Sawmill north of Prince George. United Steelworkers 1-2017 President Brian O’Rourke said the announcement came out of the blue but the company did provide more clarity on when it will take effect… “Sometime in January. …“What we have been told is the BC Timber Services haven’t gotten to put permits out yet. Albeit, when they do that, those permits are open for bid and could go to anyone.” …“We were told out in Houston when they curtailed, that they were going to maintain their logging activity. Obviously, for a good reason to keep the logging contractors. …That might be a good avenue whether or not it’s feasible to transport them to Polar to keep that operation running during these tough times.” 

Additional coverage in CKPG Today: ‘Absolutely devastating’: Reaction to Polar Sawmill curtailment

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70 Crofton paper workers face at least another 3-month closure

By Darron Kloster
The Times Colonist
November 25, 2023
Category: Business & Politics
Region: Canada, Canada West

Paper Excellence says paper operations at its Crofton mill will remain shuttered until at least the end of February, which is bad news for about 70 unionized workers who had hoped to be back on the job Dec. 1. The latest extension means the curtailment will now stretch to at least eight months. The company cited continued challenging conditions in international paper markets that have not recovered as anticipated. Unifor Local 1132… local president Tanner McQuarrie said the latest curtailment is making life difficult for members. …He said if there is any silver lining to the company’s latest announcement, “at least it had the respect to give us notice of three months instead of just one.” McQuarrie also noted it’s a huge blow to union members because the promised millions in upgrades unveiled during a press conference last year to save their jobs now seems uncertain — including $18.8 million in both federal and provincial funding.

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The economic costs of CleanBC need to be communicated

By Jock Finlayson and Ken Peacock
Business in Vancouver
November 21, 2023
Category: Business & Politics
Region: Canada, Canada West

We understand the desire to follow a long-term decarbonization path but question the merits of the timeline, write the column’s authors. Since writing two columns discussing the NDP government’s modelling of the economic implications of its CleanBC Roadmap to 2030 (CleanBC), we have heard from advocates of the plan suggesting our description of the results is incomplete or somehow takes the projections out of context. The latest pushback comes from Dr. Nancy Olewiler in an opinion piece published by BIV. We are pleased to engage with Dr. Olewiler. From the time we first stumbled upon the modelling results in an Excel spreadsheet posted in an obscure location on the Ministry of Environment and Climate Change’s website, our chief concern has been that the economic dimensions of CleanBC have never been adequately communicated to legislators, local governments, First Nations, businesses or the public generally. 

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BC United promises to ‘go all-in on LNG,’ overhaul forestry management and stop ‘subsidizing Teslas for the wealthy’

By Iain Burns
Kelowna Now
November 22, 2023
Category: Business & Politics
Region: Canada, Canada West

BC United Leader Kevin Falcon has said his party would scrap the CleanBC plan in its entirety if it won power in next year’s election. He said the government strategy – which is designed to lower emissions in the province by 40 per cent by 2030 – will “kill jobs, kill paycheques, kill billions in funding for vital public services.” …“The NDP’s plan won’t even make a dent in global greenhouse gas emissions, but British Columbians will pay an enormous price,” he said on Tuesday. “The CleanBC Plan is nothing more than a ‘Cost BC’ scheme.” …Falcon said he wanted to replace the CleanBC plan with “common sense measures” that will both grow the economy and bring down emissions. He said his party would: …Aggressively overhaul forestry management practices” to bring down emissions caused by wildfires…

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Apprentices benefit employers in BC: study

By Ministry of Post-Secondary Education and Future Skills
Government of British Columbia
November 22, 2023
Category: Business & Politics
Region: Canada, Canada West

People in British Columbia and employers will learn the economic value of apprenticeships, thanks to a study funded by the B.C. government and Canadian Apprenticeship Forum – Forum Canadien sur l’Apprentissage (CAF-FCA). “Building a stronger B.C. means supporting the people who build our province,” said Selina Robinson, Minister of Post-Secondary Education and Future Skills. “This research shows how essential apprentices are to address the skills gap. This study demonstrates the value apprentices bring to employers and our economy, and helps inform employers looking to attract and retain more apprentices to meet our labour needs.” …The trades sector spans numerous industries of B.C.’s economy, such as construction, manufacturing, mining, forestry, mineral and resource extraction, automotive, marine and shipbuilding services, aerospace, and tourism and hospitality.

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Eby tells NDP convention he’s ‘nowhere near satisfied,’ more on housing, climate

By Dirk Meissner
Business in Vancouver
November 20, 2023
Category: Business & Politics
Region: Canada, Canada West

David Eby

British Columbia’s New Democrat government will focus on building more affordable homes and fighting climate change in the run-up to next year’s provincial election, Premier David Eby said Saturday, noting efforts to meet environmental goals will involve keeping a provincial carbon pricing program. Eby told more than 700 delegates at the B.C. NDP convention that he will leave no stone unturned on the housing front, while recent experiences with wildfires, floods and landslides mean the fight against climate change must continue. New Democrats were in Victoria to debate policy and strategy at the party’s convention. …He said the NDP has recently introduced legislation and regulations to restrict short-term rental accommodations, fast-track building approvals and build more housing at transit locations. …The premier told party delegates that B.C. will continue to lead Canada in the fight against climate change, noting the province has already endured the ravages of wildfires, floods and slides.

Additional coverage in the Vancouver Sun, by Vaughn Palmer: Eby previews bruising B.C. election campaign to come in 2024

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Behchokǫ̀-Yellowknife and Hay River wildfires cause over $60 million in insured damage

By Brett Weltman
Insurance Bureau of Canada
November 20, 2023
Category: Business & Politics
Region: Canada, Canada West

This summer’s wildfires near Yellowknife and Hay River, Northwest Territories, resulted in over $60 million in insured losses, according to initial estimates from Catastrophe Indices and Quantification Inc. The wildfire in Behchokǫ̀-Yellowknife saw one of the largest evacuation efforts ever recorded in Canada, with approximately 20,000 individuals forced from their homes for about three weeks. “Canada’s insurers are still working diligently to help their customers repair and rebuild following this devastating loss,” added de Pruis. …As the impact of climate change grows, Canadians are experiencing more frequent and severe weather events – including floods, wildfires, heatwaves and windstorms. The federal government has laid the foundation for an effective response in the National Adaptation Strategy (NAS), which was announced mid-year as a way of shoring up Canada’s defences against climate change. …The federal government needs to invest at least $5.3 billion annually in the NAS over the next six years.

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West Fraser Announces Completion of Spray Lake Sawmills Acquisition

West Fraser Timber Co. Ltd.
November 17, 2023
Category: Business & Politics
Region: Canada, Canada West

VANCOUVER, BC – West Fraser Timber announced that the Company has completed the acquisition of Spray Lake Sawmills located in Cochrane, Alberta, following completion of Canadian regulatory reviews and satisfaction of customary conditions. “Building on our operating footprint in Alberta, we see Spray Lake Sawmills as an ideal fit with our lumber and treated wood business. We are excited to welcome the experienced and dedicated team to the West Fraser family,” said Ray Ferris, CEO. Spray Lake Sawmills produces treated wood products, dimensional lumber and a variety of innovative wood residuals and biproducts. It has an annual lumber capacity of 155 million board feet and holds two Forest Management Agreements granted by the Government of Alberta with a total Annual Allowable Cut of approximately 500,000 m3.

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Western Wood Preservers gets up to $300K in provincial funds to expand

By Matthew Claxton
The Aldergrove Star
November 19, 2023
Category: Business & Politics
Region: Canada, Canada West

ALDERGROVE, BC — An Aldergrove wood processing firm will receive up to $300,000 to expand its factory and create seven new jobs as part of a provincial program. Western Wood Preservers is expected to use the money to expand and renovate its facility to potentially double its production of treated lumber and move to year-round operations. The money comes from the BC Manufacturing Job Fund. In total, $1.3 million is going to four businesses in the Fraser Valley in the recently-announced funding. “The funds are expediting the company’s plan to enhance its treating facility, which will result in increased employment to handle the increase in production capacity,” said Chris Carter, director of Western Wood Preservers. “Given the reduction in available fibre, our facility improvements will help extend the life of more wood products through pressure treating.”

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B.C. strengthening manufacturing sector in Fraser Valley

By Ministry of Jobs, Economic Development and Innovation
Government of British Columbia
November 17, 2023
Category: Business & Politics
Region: Canada, Canada West

New support for manufacturing businesses in the Fraser Valley will create jobs, promote the development of made-in-B.C. products and strengthen local supply chains and communities. …Through the BC Manufacturing Jobs Fund, B.C. is investing more than $1.3 million toward four projects, including: Western Wood Preservers Ltd. in Aldergrove, who will receive as much as $300,000 to expand and renovate their processing facility; and Power Wood Corp. in Agassiz will receive as much as $50,000 to complete business planning, technical drawings and an engineering plan to build a new thermal modification facility. This would allow it to make use of new fibre sources and double its production capacity of specialty wood products, such as siding, panelling and trim, while potentially creating 44 jobs through this future capital project. …“Wood-manufacturing companies, like those in the Fraser Valley, are creating B.C.’s next generation of forestry jobs,” said Bruce Ralston, Minister of Forests. 

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Paper Excellence Canada supports environmental conservation with $50,000 donation to Nature Trust of British Columbia

Paper Excellence Canada
November 16, 2023
Category: Business & Politics
Region: Canada, Canada West

RICHMOND, BC – Paper Excellence Canada announced today a generous contribution of $50,000 to the Nature Trust of British Columbia. This donation will support the Nature Trust of BC’s conservation projects in the Kootenays and reflects Paper Excellence’s unwavering commitment to environmental sustainability and conservation. “Our support for the Nature Trust of BC’s endeavours in the Kootenays aligns with our core values of environmental responsibility,” said Blair Dickerson, VP, Public Affairs, Paper Excellence Canada.” …“We are grateful for this generous donation. Protecting these lands, sustaining migration corridors and ensuring these ecosystems remain intact will help fight climate change and biodiversity loss for generations to come,” said Dr. Jasper Lament, CEO, Nature Trust of BC.

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Secure Your Spot at the Forestry Event of the Year – Early Bird Pricing Ends Nov 17!

BC Truck Loggers Association
November 16, 2023
Category: Business & Politics
Region: Canada, Canada West

The Countdown is On! Don’t Miss Out! Secure Your Spot at the Forestry Event of the Year – Early Bird Pricing Ends Nov 17! We are thrilled to invite you to the most anticipated gathering of forestry professionals – the 79th Annual Truck Loggers Association Convention + Trade Show! This year’s event offers TLA members and non-members an all-inclusive registration pass, granting access to all sessions and events throughout the convention. Tickets to Suppliers Night and Lunch on the Trade Show Floor can be purchased on an individual basis. Why Attend? “Solutions From Our Forests” This year’s convention delves into critical topics like climate change, wildfire mitigation, innovation, and community resilience under the theme “Solutions From Our Forests.” The forest industry has been tasked with providing solutions to these pressing challenges, and our convention aims to showcase the sector’s resilience and ability to lead the way.

  • Event Date: January 17-19
  • Location: Westin Bayshore |  Vancouver, BC
  • Early Bird Pricing Ends: November 17

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Canfor Announces Extended Curtailment at Polar Sawmill

By Canfor Corp.
Cision Newswire
November 14, 2023
Category: Business & Politics
Region: Canada, Canada West

VANCOUVER, BC — Canfor announced it will curtail operations at its Polar Sawmill located in Bear Lake BC, north of Prince George. The curtailment is the result of a shortage of economically available fibre in the region and is expected to be in place for a period of approximately six months. …”Unfortunately, BC is amongst the highest cost operating jurisdictions in the world. With persistent weak market conditions and a shortage of cost-competitive fibre in the region, we simply don’t have enough economic fibre to support both of our Prince George-area mills through this winter. As a result, we are making the difficult decision to curtail operations at Polar to ensure continued operations at our other facilities in the region,” said Stephen Mackie, Executive VP, North American Operations. The curtailment will remove approximately 140 million board feet of production over six months.

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Offers now open for closed sawmill, pellet plant

By Rod Link
Terrace Standard
November 14, 2023
Category: Business & Politics
Region: Canada, Canada West

The Skeena Sawmills sawmill and sister pellet plant, both closed and under receivership, are officially for sale as a package. Initial offers to the receiver appointed in September by the B.C. Supreme Court are welcome up until Dec. 8 followed by a deadline of Jan. 12 to submit a final bid. Receiver Alvarez and Marsal says it wants a purchase contract and sale wrapped up by Feb. 2 with court approval by Feb. 16 and a closing date on or around Feb. 29. The closing date could vary depending upon regulatory approvals. The package consists of the assets of three companies — ROC Holdings which owns the property on which the sawmill belonging to Skeena Sawmills Ltd. sits and the pellet plant belonging to Skeena Bioenergy Ltd. sits. …The city was ready to place the properties on sale for the back taxes, but was prevented from doing so when the B.C. Supreme Court provided the receivership order.

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Saint John property tax increases to hit residents, but spare industry in 2024

By Robert Jones
CBC News
November 20, 2023
Category: Business & Politics
Region: Canada, Canada East

NEW BRUNSWICK — A Saint John City budget for 2024 that will require residential property owners to pay $8.5 million more in property taxes, while large industrial properties pay less, is being blamed on provincial tax rules that limit how much municipalities can charge businesses. It’s also reigniting debate in Saint John over whether industry pays enough to support city services. “Heavy industry next year will actually be paying less than the year before, overall, because we don’t have the tools to do anything else,” said finance committee chair Gary Sullivan. …Prince George, B.C., is one of a number of Canadian cities that imposes special rates on its biggest facilities. The city hosts pulp and paper mills and a small oil refinery and employs nine separate property tax categories. …New Brunswick municipalities are currently not permitted to tax any business properties, including industrial properties, more than 1.7 times what residential properties are charged.

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Wood Products Manufacturers Associaiton elects 2024 board, hosts annual meeting

By Karen Koenig
The Woodworking Network
November 20, 2023
Category: Business & Politics
Region: United States

WESTMINSTER, Massachusetts – The election of a new board was among the highlights of the recent Wood Products Manufacturers Association annual meeting. Representatives from more than 35 companies attended the two-day event, held in Nashville. The announced its 2024 officers: Scott Ferland, Maine Woods WPMA president; George Melnyk Jr., Premier Millwork & Lumber VP, Terry Gross, Brown Wood, treasurer,; and John Lentine, Boyce Highlands, assistant treasurer. Michelle Arsenault is the executive director and Immediate past president is Sandra Ann Bean of JM Champeau. …The association also recognized Peter Puttmann of Atlas Dowel & Wood Products on his retirement. …WPMA is headquartered in Massachusetts and has members throughout the US and Canada.

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American Forest & Paper Association Elects Board of Directors

The American Forest & Paper Association
November 13, 2023
Category: Business & Politics
Region: United States

WASHINGTON – The American Forest & Paper Association announced the election of its new 2024 Board of Directors members: Kevin Hayward, Ox Industries; Kevin Kuznicki, Billerud Americas Corporation; Steve Henry, Domtar, Resolute Forest Products, Paper Excellence; and Tamera Fenske, Kimberly-Clark Corporation. They join 4 returning board members: Arsen Kitch, Clearwater Paper Corporation; Christian Fischer, Georgia-Pacific LLC; Howard Coker, Sonoco Products Company; and Ole Rosgaard, Greif, Inc. These members were elected during AF&PA’s Presidents Forum on November 9, 2023. They will serve 3-year terms, beginning on January 1, 2024. “The AF&PA Board of Directors embodies true excellence in leadership, demonstrating our industry’s best talent,” said Heidi Brock, AF&PA President and CEO. In addition to announcing these newly elected directors, AF&PA also welcomed new company and associate members.

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Drax applauds the government of Canada’s commitment to biomass technologies

Drax Group plc
GlobeNewswire
November 24, 2023
Category: Business & Politics
Region: Canada, US West

VANCOUVER, BC — Drax commends the Government of Canada on the inclusion of biomass-using technologies in the Clean Technology and Clean Electricity Investment Tax Credits. …Will Gardiner, CEO of Drax said, Bioenergy with Carbon Capture and Storage (BECCS) is vital to energy security. Drax’s ambition through BECCS is building large-scale carbon removal facilities, creating thousands of jobs in new clean energy technology and generating dispatchable, renewable power using sustainably sourced biomass for homes and industries – while supporting the growth of the forestry sector and other intermittent energy sources. …Drax believes that Canada could be an ideal location to deploy BECCS, given its access to one of the world’s greatest fibre baskets, well-established sustainable forestry sector, and suitable geology for CO2 storage. …In Canada, Drax has invested over $830 million in the Canadian forestry sector, supporting more than 10,000 jobs and contributing $1.1 billion to the nation’s GDP in 2021.

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Business records sought in revived Eastern Oregon timber antitrust lawsuit

By Mateusz Perkowski
The Bend Bulletin
November 19, 2023
Category: Business & Politics
Region: United States, US West

JOHN DAY, Oregon — Plaintiffs alleging an antitrust conspiracy between an Eastern Oregon logging outfit and sawmill have refiled their complaint with updated allegations after an earlier version was dismissed last month. Workers sort lumber at the Malheur Lumber mill in John Day, Oregon. A coalition consisting of landowners, loggers and a rival mill is seeking to revive an antitrust lawsuit against the Malheur Lumber and the Iron Triangle logging outfit. Their attorneys are also seeking the business records of the Iron Triangle logging outfit and Malheur Lumber to bolster their revised claims of anticompetitive conduct against the companies. The new lawsuit cures the deficiencies that prompted a federal judge to dismiss the previous version in October, according to the plaintiffs. …The antitrust lawsuit alleges the defendants have monopolized the markets for softwood saw logs and logging services.

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November Lumber Shorts

The Southern Forest Products Association
November 28, 2023
Category: Business & Politics
Region: United States, US East

In this edition of Southern Forest Products Association’s Lumber Shorts:

  • 2023 SFPA Value Report Now Available: Driving Value for the Southern Pine Lumber Community
  • Member News: Highlights from Westervelt, Weyerhaeuser, Andritz, Captis Aire, Hyster, Wood-Mizer and YellaWood.
  • ThinkWood Captures Student Interest for Wood Products: learn more about how students seek out information
  • Optimize Productivity with Industrial Video Monitoring
  • The International Report: an expanded look at Q3 2023 Southern Pine exports

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Boise Cascade curtails lumber operations in Chapman, Alabama

By Boise Cascade Company
Business Wire
November 28, 2023
Category: Business & Politics
Region: United States, US East

BOISE, Idaho–Boise Cascade Company today announced an indefinite curtailment of its lumber production in Chapman, Alabama. The curtailment will affect approximately 80 positions. The plywood operations at the Chapman location are not part of the curtailment. The Worker Adjustment and Retraining Notification Act notification was provided to impacted employees and specifies that operations will cease on January 28, 2024. “The team has worked diligently every day; however, a combination of challenges, including required future investments and overall profitability, has led to this decision,” said Chris Seymour, Senior Vice President of Manufacturing Operations. “It was a difficult and unfortunate decision, but after evaluating a number of factors over the past year, it is not feasible to continue operating at an efficient level.”

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The Home Depot Enters into Agreement to Acquire International Designs Group

By The Home Depot
Cision Newswire
November 20, 2023
Category: Business & Politics
Region: United States, US East

ATLANTA — The Home Depot® has entered into a definitive agreement to acquire International Designs Group (IDG), a platform company that owns and operates Construction Resources and other design-oriented subsidiaries. Construction Resources is a leading distributor of design-oriented surfaces, appliances and architectural specialty products for professional (Pro) contractors focused on renovation, remodeling, residential home building and multi-family. The Pro spend represents a $475 billion addressable market. …With showrooms across the East Coast and Southeast, Construction Resources allows The Home Depot to expand the capabilities it offers Pro customers, many of whom rely on showrooms as part of their consultative approach to complex renovation and remodel jobs. …The acquisition is expected to close by the end of 2023.

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Woodland Pulp strike ends as union accepts amended contract

By Ethan Andrews
Bangor Daily News
November 24, 2023
Category: Business & Politics
Region: United States, US East

MAINE — After more than a month on the picket line, union workers at the Woodland Pulp mill in Baileyville voted Friday to accept the latest offer from the company, ending a strike that started Oct. 14. In an announcement, the International Association of Machinists and Aerospace Workers highlighted gains in the new tentative contract, including general wage increases of 3-4 percent, with the potential for an 11.6-percent increase for current journeymen maintenance workers, through reclassification. A tiered vacation system will be removed, employees will be eligible for 20 hours of earned paid sick leave, usable in 1-hour increments. …The strike involved members of the International Association of Machinists and Aerospace Workers Local 1490, along with 20 millwrights and 38 oilers and steam and water plant operators from Service Employees International Union Local 330-3 and Millwrights Local 1121.

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Trudeau says Canada joining EU research program, makes water bomber deal

By Sarah Smellie
Canadian Press in Global News
November 24, 2023
Category: Business & Politics
Region: Canada, US East

ST. JOHN’S, Newfoundland – Prime Minister Justin Trudeau kicked off a two-day summit with the top two heads of the European Union on Thursday night in a small brewpub on the edge of the Atlantic Ocean in Newfoundland and Labrador’s capital city of St. John’s. …He said Canada is joining the European Union’s $100-billion scientific research program, called Horizon Europe, which he called “the greatest research and innovation mechanism in the world right now.” Canada has also worked out a deal to build water bombers and ship them to the EU, after both regions faced devastating forest fires this past summer, Trudeau told the crowd at the Quidi Vidi Brewery. …This year’s EU-Canada Summit in St. John’s is the 19th such meeting between Canada’s prime minister and the heads of the bloc of 27 countries. 

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The Trade That Backfired for America’s Biggest Wood-Pellet Exporter

By Ryan Dezember
The Wall Street Journal
November 22, 2023
Category: Business & Politics
Region: United States, US East

A wrong-way bet on the price of wood pellets has jeopardized America’s biggest exporter of the fuel, even though demand has never been higher among the European and Asia power plants burning wood instead of coal. Enviva said its gambit to buy pellets from a customer, and resell them for more, backfired when prices fell, and that nine-figure losses could trigger a default with its lenders by year-end. Enviva’s shares are down about 60% since it warned investors the trade risked its ability to remain a going concern. The stock has fallen more than 97% this year and recently traded below $1. …“Absent a significant and near-term increase in wood-pellet market pricing, we expect [the trade] will continue to have a negative impact through 2025,” Glenn Nunziata said. …It should have been a great time to be the world’s largest pellet exporter. Prices and exports were running high following Russia’s invasion of Ukraine. [to access the full story, a WSJ subscription is required]

Related coverage in Paper Advance: Enviva at a Crossroads: Navigating Choppy Waters

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Union says 5 arrested at picket line of striking workers at eastern Maine pulp mill

By Stephen Singer
The Portland Press Herald
November 20, 2023
Category: Business & Politics
Region: United States, US East

BAILEYVIEW, Maine — Five picketers at a Washington County pulp producer were arrested Monday, according to a union official who denied accusations that strikers were blocking a gate. Just last week, members of several unions representing the workers rejected Woodland Pulp’s latest contract offer, extending the dispute that began in mid-October. The union representing workers at the Baileyville plant said between 30 and 40 were picketing outside the mill at the time. …Employees have been on strike since about 90 union members walked off the job Oct. 14. The company employs more than 300 workers. …Brendan Wolf said Woodland Pulp has hired temporary replacement workers. …The mill is owned by St. Croix Tissue, based in Canada. Its parent company, the International Grand Investment Corp., is a U.S.-based company held by a Chinese investment firm.

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Ingevity to close Louisiana pine chemicals plant

By Craig Bettenhausen
Chemical and Engineering News
November 16, 2023
Category: Business & Politics
Region: United States, US East

Faced with growing competition for its main raw material, the chemical maker Ingevity is closing its pine chemical plant in DeRidder, Louisiana, in the first half of 2024. The site uses crude tall oil (CTO), a byproduct of pulp and paper production, to make adhesives and other commodities. The closure and related cuts will save Ingevity around $70 million and about 300 employees will lose their jobs. CTO is rich in fatty acids that Ingevity and other companies have been separating and upgrading for over a century. But biobased feedstocks like CTO are in increasing demand as a raw material for transportation fuels as companies move away from petroleum to lower their greenhouse gas emissions. The EU’s Renewable Energy Directive is creating demand for biofuels in the EU. As a result, US pulp and paper mills are exporting more CTO to Europe as they used to.

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Endowment Welcomes New Board Members

By Wendy McCarthy
The US Endowment for Forestry and Communities
November 17, 2023
Category: Business & Politics
Region: United States, US East

GREENVILLE, S.C –  The U.S. Endowment for Forestry and Communities (Endowment) is pleased to announce Fritz Mason, Paul Hossain, and Anna Torma were elected as new directors at the organization’s fall board meeting. “We are thrilled to welcome Fritz, Paul, and Anna to the Endowment family. Drawing upon diverse backgrounds, they each bring a distinctive perspective and unique vision. We look forward to collaborating with them to further the mission of the Endowment,” said Pete Madden, President and CEO of the Endowment. Mason is president of lumber for Georgia-Pacific, where he manages the lumber manufacturing portfolio, including twelve sawmills across the United States. …Hossain is vice president of natural resources and climate solutions for Weyerhaeuser, where he has worked for nearly eight years. …Torma is vice president of public affairs and chief ESG officer for PotlatchDeltic, where she leads ESG, government relations, communications, and community relations. …Board and staff recognized the achievements of outgoing board members Mark Emmerson, Kevin Schuyler, and Caroline Dauzat.

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Kronospan to purchase Roseburg’s Simsboro, Louisiana particleboard facility

Roseburg Forest Products
November 14, 2023
Category: Business & Politics
Region: United States, US East

LOUISIANA — Kronospan has executed an asset purchase agreement with Roseburg Forest Products to acquire Roseburg’s Simsboro, Louisiana, particleboard facility. …Kronospan is committed to modernizing the Simsboro particleboard facility in the post‐acquisition period and has a proven track record in this regard from prior acquisitions. …“Given Kronospan’s plan to continue modernizing and operating the mill, this is good news for the longevity of the Simsboro facility and our 176 team members who work there,” Roseburg CEO Stuart Gray said. …Kronospan began in 1897 as a sawmill in Lungotz, Austria. A privately held company, Kronospan employs about 14,000 people and operates wood‐based panel production facilities worldwide. In the U.S., Kronospan currently operates two manufacturing locations in Alabama and Pennsylvania – servicing the market with MDF and particleboard, decorative products and laminate flooring.

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FSC International Board initiates global executive search for next Director General

Forest Stewardship Council
November 23, 2023
Category: Business & Politics
Region: International

Kim Carstensen

The Board of Directors of the Forest Stewardship Council (FSC) today announced the launch of a global executive search for the next Director General for FSC.  Zandra Martinez, Chairperson of the FSC Board of Directors said, “We are grateful to Kim Carstensen for his 11 years of service and commitment to the vision and mission of FSC.  He has led unprecedented growth of FSC across 60 countries and five continents. We believe the coming years are fundamental to continue our growth and enhancement of our global mission advocating for a holistic approach towards responsible forest management.” Under Carstensen’s leadership, FSC led the establishment of FSC Investment & Partnerships and the FSC Indigenous Foundation. He also drove the launch of FSC Ecosystem Services Procedure and a very significant increase in FSC’s global importance and reach. Mr. Carstensen will continue as Director General of FSC international as the organization reaches its 30th anniversary in 2024.

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UPM starts talks on temporary layoffs

EUWID Pulp and Paper
November 23, 2023
Category: Business & Politics
Region: International

UPM business units UPM Pulp, UPM Timber, UPM Communication Papers and UPM Biofuels will start change negotiations on possible temporary layoffs. The negotiations are conducted to prepare for possible temporary adjustment of production in the Finnish units should the uncertainty in the operating environment continue, UPM announced. Earlier this year, the company already conducted change negotiations concerning temporary layoffs in UPM Specialty Papers, UPM Plywood, UPM Raflatac, UPM Biocomposites and UPM Raumacell. The current negotiations affect all UPM pulp mills, sawmills, and graphic paper mills in Finland, as well as the Lappeenranta biorefinery. …Possible temporary layoffs could take place from 1 January until 30 June 2024 in UPM Pulp, UPM Timber and UPM Biofuels and from 1 March until 31 August 2024 in UPM Communication Papers. 

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Recycled pulp mill for export set to be built in Queensland, Australia

By Jen Skehan
REB Market Intelligence
November 21, 2023
Category: Business & Politics
Region: International

AUSTRALIA — A pulp mill using recycled fibre is set to be built in Australia that will then export the output material. An investment of AUD$137 million (£72 million) is being made into what will be Australia’s largest paper recycling facility that will be located in South East Queensland. It is a joint initiative by Auswaste Recycling and the state of Queensland and Australian national Government. The new facility will process an estimated 220,000 tonnes per annum of recycled waste paper and cardboard into pulp for export. The Australian Recycled Pulp and Paper Project (ARPPP) forms part of a AUD$1 billion (£524 million) plan to boost recycling infrastructure across the country, while supporting jobs and keeping valuable material out of landfill. …Construction of the ARPPP facilities is planned to commence mid 2024, and projected to be completed in the middle of 2025.

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Drax Foundation donates nearly £1m to support STEM education and community initiatives in the UK and North America

Drax Group Inc.
November 22, 2023
Category: Business & Politics
Region: International

New funding will go to projects where Drax Group operates in the UK, USA and Canada and takes Drax’s donations in 2023 to over £4.6m. This latest donation of nearly £1m will enable over 32,000 young people to access STEM training, 1,229 ha of land to be restored and over 20,000 people to get better access to green spaces. The Drax Foundation, the charitable entity of renewable energy company Drax Group (Drax), has donated £932,000 to 20 non-profit organisations across the regions where it operates in the UK and North America. This new funding means that in 2023 the total Drax has committed to philanthropic funding is over £4.6million. …The projects funded in this round will mean over 32,000 young people can benefit from STEM training, 1,229 hectares of land will be restored or protected and over 20,000 people will receive improved access to green spaces in their communities. 

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